FxWirePro: AUD/USD holds firm as traders await outcome of U.S.-China trade talks

• AUD/USD remained firm on Tuesday, supported by hopes of progress in the ongoing U.S.-China trade negotiations, which entered a second day in London.

• Top economic officials from the U.S. and China are meeting in London for a second day of talks aimed at easing a deepening trade dispute that has expanded beyond tariffs to include restrictions on rare earth elements.

•   Any progress in the talks may ease market fears, as Trump's tariff moves and unstable U.S.-China trade ties have hurt both economies and global growth.

• On the data front, Australian business activity stalled in May, with NAB’s survey showing business conditions fell 2 points to 0 well below the long-term average of +6. Confidence rose 3 points to +2 but stayed historically subdued.

•Meanwhile, Australian consumer sentiment edged up 0.5% in June, following a 2.2% rise in May, according to a Westpac-Melbourne Institute survey released Tuesday.

•  Immediate resistance is located at 0.6549(Higher BB), any close above will push the pair towards 0.6582(23.6%fib).

•  Support is seen at 0.6473 (38.2%fib) and break below could take the pair towards 0.6430(June 2nd low).

 Recommendation: Good to buy around 0.6500 with stop loss of 0.6430  and target price of 0.6580